Ross asked the Tory leader if he had ever fantasised about Lady Thatcher "in stockings".
Cameron, clearly embarrassed, tried to laugh it off and steer the conversation into safer territory, praising Thatcher's achievements, however, Ross pushed the issue.
He asked the MP and Conservative party leader: "Did you or did you not have a wank thinking about Margaret Thatcher?"
Former Tory minister Lord Norman Tebbit has scolded Cameron for taking part, calling the interview "obscene" and saying Cameron made an awful mistake by appearing on the programme.
Speaking to the Mail on Sunday, Tebbit said: "He should never have been there."
The Mail on Sunday, with the support of Tebbit and other senior Tories, demanded Ross be fired. The chat show host has a £18m contract with the BBC. The huge contract was recently signed with the BBC taking criticism for spending so much licence payer's money on one star.
Tebbit said: "The BBC ought to take action against Ross, but they won't. The BBC was always against Lady Thatcher; now it is stooping to childish abuse."
The BBC says it stands by the programme because the interview was shown after the 9pm watershed and refused to censor it for the repeat shown at 1am on Sunday morning.
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